Prosperity Advisory Group LLC

Item 5 – Fees and Compensation

The following paragraphs detail the fee structure and compensation methodology for services provided by the
Advisor. Each Client engaging the Advisor for services described herein shall be required to enter into one or more
written agreements with the Advisor.

A. Fees for Advisory Services
Investment Management Services
Investment advisory fees are paid quarterly, advance of each calendar quarter, pursuant to the terms of the
investment advisory agreement. Investment advisory fees are based on the market value of assets under
management at the end of the prior calendar quarter. Investment advisory fees are based on the following schedule:

                                               Prosperity Advisory Group LLC
                                          50 Square Drive, Suite 220, Victor, NY 14564
                                          Phone: (585) 381-5900 * Fax: (585) 381-0478
                                                   https://prosperityadv.com

                  Assets Under Management ($)         Annual Rate (%)
                  Up to $1,000,000                           1.25%
                  $1,000,001 to $3,000,000                   1.00%
                  Over $3,000,000                            0.75%
                 *The Advisor imposes a minimum fee of $1,000 for Investment Management Services

The investment advisory fee in the first quarter of service is prorated from the inception date of the account[s] to the
end of the first quarter. Fees may be negotiable at the sole discretion of the Advisor. The Client’s fees will take into
consideration the aggregate assets under management with the Advisor. At the Advisor’s discretion, Clients may be
permitted to pay advisory fees via invoice. All securities held in accounts managed by PAG will be independently
valued by the Custodian. The Advisor will conduct periodic reviews of the Custodian’s valuations to ensure accurate
billing.

For assets managed through a third-party platform, the Client is not charged any additional platform fees. The Advisor
bears the cost of the platform in order to service these Client assets. Advisory fees apply to assets accessed and
managed through the platform as part of the Client’s assets under management, as disclosed above.

Financial Planning Services
Initial Financial Plan Development - The Initial financial plan development is a one-time engagement offered for a
fixed fee ranging up to $3,000. Fees may be negotiable based on the on the nature and complexity of the services to
be provided and the overall relationship with the Advisor.

Ongoing Annual Review – Ongoing financial planning reviews are charged a fixed fee of $500 per year. Fees may be
negotiable based on the on the nature and complexity of the services to be provided and the overall relationship with
the Advisor.

Cash Flow Consulting
PAG offers cash flow consulting services on an hourly basis. Hourly fees range from $100 to $300 per hour. Fees may
be negotiable based on the nature and complexity of the services to be provided and the overall relationship with the
Advisor. An estimate for total hours and/or total costs will be provided to the Client prior to engaging for these
services.

Retirement Plan Advisory Services
Fees for retirement plan advisory services are charged an annual asset-based fee of up to 0.50% and are billed
quarterly in advance of each calendar quarter pursuant to the terms of the retirement plan advisory agreement.
Retirement plan advisory fees are based on the market value of assets under management at the end of the prior
calendar quarter. Fees may be negotiable depending on the size and complexity of the Plan.

B. Fee Billing
Investment Management Services
Investment advisory fees are calculated by the Advisor or its delegate and deducted from the Client’s account[s] at the
Custodian. The Advisor shall send an invoice to the Custodian indicating the amount of the fees to be deducted from
the Client’s account[s] at the beginning of the respective quarter. The amount due is calculated by applying the
quarterly rate (annual rate divided by 4) to the total assets under management with PAG at the end of the prior
quarter. Clients will be provided with a statement, at least quarterly, from the Custodian reflecting deduction of the
investment advisory fee. Clients are urged to also review brokerage statements from the Custodian, as the Custodian
does not perform verification of fees. Clients provide written authorization permitting advisory fees to be deducted by
PAG to be paid directly from their account[s] held by the Custodian as part of the investment advisory agreement and
separate account forms provided by the Custodian.

Financial Planning Services
Financial planning fees for the initial financial plan development may be invoiced up to fifty percent (50%) of the
expected total fee upon execution of the financial planning agreement. The balance shall be invoiced upon completion
of the agreed upon deliverable[s]. Financial planning fees for the ongoing annual review are billed quarterly in
advance of each calendar quarter.
                                              Prosperity Advisory Group LLC
                                         50 Square Drive, Suite 220, Victor, NY 14564
                                         Phone: (585) 381-5900 * Fax: (585) 381-0478
                                                  https://prosperityadv.com

Cash Flow Consulting
Cash flow consulting fees for the initial financial plan development may be invoiced up to fifty percent (50%) of the
expected total fee upon execution of the cash flow consulting agreement. The balance shall be invoiced upon
completion of the agreed upon deliverable[s].

Retirement Plan Advisory Services
Retirement plan advisory fees may be directly invoiced to the Plan Sponsor or deducted from the assets of the
Plan, depending on the terms of the retirement plan advisory agreement.
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Item 7 – Types of Clients

PAG offers investment advisory services to individuals, high net worth individuals, trusts, estates, businesses, and
retirement plans. PAG generally does not impose a minimum relationship size. However, the Advisor imposes a
minimum annual fee of $1,000. This fee may be waived at the sole discretion of the Advisor.